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Data Analyst Job Market Analysis

Introduction

📊 Let's dive into the data job market! This project zooms in on data analyst roles, uncovering 💰 top-paying positions, 🔥 essential skills, and 📈 where high demand meets high salaries in the world of data analytics.

🔍 Interested in SQL queries? You can explore them in the project_sql folder.

Background

The key questions I set out to answer through my SQL queries include:

  • What are the highest-paying data analyst jobs?
  • What skills are required for these top-paying positions?
  • Which skills are most in demand for data analysts?
  • Which skills correlate with higher salaries?
  • What are the most valuable skills to learn for career growth?

Tools I Used

To conduct my analysis of the data analyst job market, I utilized several essential tools:

  • SQL: The foundation of my analysis, helping me query the database and uncover key insights.
  • PostgreSQL: The database management system I used to manage job posting data.
  • Visual Studio Code: My preferred IDE for managing databases and running SQL queries.
  • Git & GitHub: Crucial for version control, sharing SQL scripts, and ensuring collaboration and project transparency.
  • sqliteviz: The online web app that I used to clean and to prepare data for analysation.

The Analysis

Each query in this project was designed to investigate different aspects of the data analyst job market. Here's my approach:

1. Top Paying Data Analyst Jobs

To identify the highest-paying roles, I filtered data analyst positions by average annual salary and location, with a focus on remote opportunities. This query pinpoints the top-paying roles in the field.

SELECT
	job_id,
	job_title,
	job_location,
	job_schedule_type,
	salary_year_avg,
	job_posted_date,
    name AS company_name
FROM
    job_postings_fact
LEFT JOIN company_dim ON job_postings_fact.company_id = company_dim.company_id
WHERE
    job_title_short = 'Data Analyst' AND
    job_location = 'Anywhere' AND
    salary_year_avg IS NOT NULL
ORDER BY
    salary_year_avg DESC
LIMIT 10;

Here's the breakdown of the top data analyst jobs in 2023:

  • Wide Salary Range: Top 10 paying data analyst roles span from $184,000 to $650,000, indicating significant salary potential in the field.
  • Diverse Employers: Companies like SmartAsset, Meta, and AT&T are among those offering high salaries, showing a broad interest across different industries.
  • Job Title Variety: There's a high diversity in job titles, from Data Analyst to Director of Analytics, reflecting varied roles and specializations within data analytics.

Top Paying Roles Bar graph visualizing the salary for the top 10 salaries for data analysts; ChatGPT generated this graph from my SQL query results

2. Skills for Top Paying Jobs

To understand what skills are required for the top-paying jobs, I joined the job postings with the skills data, providing insights into what employers value for high-compensation roles.

WITH top_paying_jobs AS (
    SELECT
        job_id,
        job_title,
        salary_year_avg,
        name AS company_name
    FROM
        job_postings_fact
    LEFT JOIN company_dim ON job_postings_fact.company_id = company_dim.company_id
    WHERE
        job_title_short = 'Data Analyst' AND
        job_location = 'Anywhere' AND
        salary_year_avg IS NOT NULL
    ORDER BY
        salary_year_avg DESC
    LIMIT 10
)

SELECT
    top_paying_jobs.*,
    skills
FROM top_paying_jobs
INNER JOIN skills_job_dim ON top_paying_jobs.job_id = skills_job_dim.job_id
INNER JOIN skills_dim ON skills_job_dim.skill_id = skills_dim.skill_id
ORDER BY
    salary_year_avg DESC;

Here's the breakdown of the most demanded skills for the top 10 highest paying data analyst jobs in 2023:

  • SQL is leading with a bold count of 8.
  • Python follows closely with a bold count of 7.
  • Tableau is also highly sought after, with a bold count of 6. Other skills like R, Snowflake, Pandas, and Excel show varying degrees of demand.

Top Paying Skills Bar graph visualizing the count of skills for the top 10 paying jobs for data analysts; ChatGPT generated this graph from my SQL query results

3. In-Demand Skills for Data Analysts

This query helped identify the skills most frequently requested in job postings, directing focus to areas with high demand.

SELECT
    skills,
    COUNT(skills_job_dim.job_id) AS demand_count
FROM job_postings_fact
INNER JOIN skills_job_dim ON job_postings_fact.job_id = skills_job_dim.job_id
INNER JOIN skills_dim ON skills_job_dim.skill_id = skills_dim.skill_id
WHERE
    job_title_short = 'Data Analyst'
    AND job_work_from_home = True
GROUP BY
    skills
ORDER BY
    demand_count DESC
LIMIT 5;

Here's the breakdown of the most demanded skills for data analysts in 2023

  • SQL and Excel remain fundamental, emphasizing the need for strong foundational skills in data processing and spreadsheet manipulation.
  • Programming and Visualization Tools like Python, Tableau, and Power BI are essential, pointing towards the increasing importance of technical skills in data storytelling and decision support.
Skills Demand Count
SQL 7291
Excel 4611
Python 4330
Tableau 3745
Power BI 2609

Table of the demand for the top 5 skills in data analyst job postings

4. Skills Based on Salary

Exploring the average salaries associated with different skills revealed which skills are the highest paying.

SELECT
    skills,
    ROUND(AVG(salary_year_avg), 0) AS avg_salary
FROM job_postings_fact
INNER JOIN skills_job_dim ON job_postings_fact.job_id = skills_job_dim.job_id
INNER JOIN skills_dim ON skills_job_dim.skill_id = skills_dim.skill_id
WHERE
    job_title_short = 'Data Analyst'
    AND salary_year_avg IS NOT NULL
    AND job_work_from_home = True
GROUP BY
    skills
ORDER BY
    avg_salary DESC
LIMIT 25;

Here's a breakdown of the results for top paying skills for Data Analysts:

  • High Demand for Big Data & ML Skills: Top salaries are commanded by analysts skilled in big data technologies (PySpark, Couchbase), machine learning tools (DataRobot, Jupyter), and Python libraries (Pandas, NumPy), reflecting the industry's high valuation of data processing and predictive modeling capabilities.
  • Software Development & Deployment Proficiency: Knowledge in development and deployment tools (GitLab, Kubernetes, Airflow) indicates a lucrative crossover between data analysis and engineering, with a premium on skills that facilitate automation and efficient data pipeline management.
  • Cloud Computing Expertise: Familiarity with cloud and data engineering tools (Elasticsearch, Databricks, GCP) underscores the growing importance of cloud-based analytics environments, suggesting that cloud proficiency significantly boosts earning potential in data analytics.
Skills Average Salary ($)
pyspark 208,172
bitbucket 189,155
couchbase 160,515
watson 160,515
datarobot 155,486
gitlab 154,500
swift 153,750
jupyter 152,777
pandas 151,821
elasticsearch 145,000

Table of the average salary for the top 10 paying skills for data analysts

5. Most Optimal Skills to Learn

Combining insights from demand and salary data, this query aimed to pinpoint skills that are both in high demand and have high salaries, offering a strategic focus for skill development.

SELECT
    skills_dim.skill_id,
    skills_dim.skills,
    COUNT(skills_job_dim.job_id) AS demand_count,
    ROUND(AVG(job_postings_fact.salary_year_avg), 0) AS avg_salary
FROM job_postings_fact
INNER JOIN skills_job_dim ON job_postings_fact.job_id = skills_job_dim.job_id
INNER JOIN skills_dim ON skills_job_dim.skill_id = skills_dim.skill_id
WHERE
    job_title_short = 'Data Analyst'
    AND salary_year_avg IS NOT NULL
    AND job_work_from_home = True
GROUP BY
    skills_dim.skill_id
HAVING
    COUNT(skills_job_dim.job_id) > 10
ORDER BY
    avg_salary DESC,
    demand_count DESC
LIMIT 25;
Skill ID Skills Demand Count Average Salary ($)
8 go 27 115,320
234 confluence 11 114,210
97 hadoop 22 113,193
80 snowflake 37 112,948
74 azure 34 111,225
77 bigquery 13 109,654
76 aws 32 108,317
4 java 17 106,906
194 ssis 12 106,683
233 jira 20 104,918

Table of the most optimal skills for data analyst sorted by salary

Here's a breakdown of the most optimal skills for Data Analysts in 2023:

  • High-Demand Programming Languages: Python and R stand out for their high demand, with demand counts of 236 and 148 respectively. Despite their high demand, their average salaries are around $101,397 for Python and $100,499 for R, indicating that proficiency in these languages is highly valued but also widely available.
  • Cloud Tools and Technologies: Skills in specialized technologies such as Snowflake, Azure, AWS, and BigQuery show significant demand with relatively high average salaries, pointing towards the growing importance of cloud platforms and big data technologies in data analysis.
  • Business Intelligence and Visualization Tools: Tableau and Looker, with demand counts of 230 and 49 respectively, and average salaries around $99,288 and $103,795, highlight the critical role of data visualization and business intelligence in deriving actionable insights from data.
  • Database Technologies: The demand for skills in traditional and NoSQL databases (Oracle, SQL Server, NoSQL) with average salaries ranging from $97,786 to $104,534, reflects the enduring need for data storage, retrieval, and management expertise.

What I Learned

Throughout this adventure, I've turbocharged my SQL toolkit with some serious firepower:

  • 🧩 Complex Query Crafting: Mastered the art of advanced SQL, merging tables like a pro and wielding WITH clauses for ninja-level temp table maneuvers.
  • 📊 Data Aggregation: Got cozy with GROUP BY and turned aggregate functions like COUNT() and AVG() into my data-summarizing sidekicks.
  • 💡 Analytical Wizardry: Leveled up my real-world puzzle-solving skills, turning questions into actionable, insightful SQL queries.

Conclusions

Insights

From the analysis, several general insights emerged:

  1. Top-Paying Data Analyst Jobs: The highest-paying jobs for data analysts that allow remote work offer a wide range of salaries, the highest at $650,000!
  2. Skills for Top-Paying Jobs: High-paying data analyst jobs require advanced proficiency in SQL, suggesting it’s a critical skill for earning a top salary.
  3. Most In-Demand Skills: SQL is also the most demanded skill in the data analyst job market, thus making it essential for job seekers.
  4. Skills with Higher Salaries: Specialized skills, such as SVN and Solidity, are associated with the highest average salaries, indicating a premium on niche expertise.
  5. Optimal Skills for Job Market Value: SQL leads in demand and offers for a high average salary, positioning it as one of the most optimal skills for data analysts to learn to maximize their market value.

Closing Thoughts

This project enhanced my SQL skills and provided valuable insights into the data analyst job market. While I sharpen my skills with a wide range of technicues in Data Science world, I also have gained usefull knowledge to prioritizing skill development and job search efforts. This exploration highlights the importance of continuous learning and adaptation to emerging trends in the field of data analytics.

Contact

For thoughts and any suggestion, please contact me vie:

--- email --- LinkIdin

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